A Muslim cannot inherit from a disbeliever nor can a disbeliever inherit from a Muslim
Authentic hadithوعن أسامة بن زيد رضي الله عنهما أن النبي صلى الله عليه وسلم قال: «لا يرثُ المسلمُ الكافرَ، ولا يَرِثُ الكافرُ المسلمَ».
Usāmah ibn Zayd (may Allah be pleased with him) reported: The Prophet (may Allah's peace and blessings be upon him) said: "A Muslim cannot inherit from a disbeliever nor can a disbeliever inherit from a Muslim."
Explanation
The Prophet (may Allah's peace and blessings be upon him) said that Muslims and disbelievers cannot inherit from each other. The bond of Islam is the strongest bond, so if this sacred bond is missing between relatives, the ties and relationships are broken. When the relationship is damaged, inheritance is forbidden, for it is principally founded on loyalty and mutual support.
Source · Narrated by Bukhari & Muslim
From the Hadith Encyclopedia (hadeethenc.com).